Week of May 18–May 24, 2026
The quiet week before this one gets its one line: a $342.66 deposit landed on May 12, spare cash finding its way in, and nothing else happened. Then the log wakes up. Wednesday and Thursday show a string of canceled buyback orders on the June 26 strangle, 2.00, 2.05, 2.10, small patient tries, before Thursday evening’s fill at 2.15 booked $308.04. Friday at midday a new strangle went on for July 10, and for the first time the call strike moved all the way out to 8500, because the index underneath it would not stop climbing.
Closed: Jun 26 strangle
+$308.04
2 contracts, sold 5.40 May 6, closed 2.15 May 21. Held 15 days
Opened May 22
6.30 pts
2x /ESU6 Jul 10 5600P / 8500C strangle, about $630 credit
What actually happened
| Date | Action | Details |
|---|---|---|
| Thu May 21 | Closed | 2x /ESU6 Jun 26 5200P/8400C strangle, 2.15 debit. +$308.04 |
| Fri May 22 | Opened | 2x /ESU6 Jul 10 5600P/8500C strangle, 6.30 credit |
The exit ladder is the readable part. Unlike the 1:00 AM scramble in April, these repriced orders moved by a nickel at a time toward the market over two days, someone negotiating with the tape rather than fleeing it. The position gave up 2.15 of the 5.40 collected and still banked its second-largest win to date. The re-entry the next day kept the 2-lot size and pushed both strikes up, 5600 and 8500, tracking an index that had spent two months going one direction.
What moved the market this week?
An outright melt-up: the S&P’s eighth straight winning week, closing pennies from its record around 7,473. Nvidia posted an $81 billion quarter, SpaceX filed to go public in what was framed as the largest IPO in history, and Kevin Warsh was sworn in as Fed chair on Friday. The strange split underneath: consumer sentiment printed a record low the same week, dragged down by wartime gasoline prices. Stocks at records, households gloomy, and a premium seller in the middle still collecting 6.30 for a July strangle. As ever, the log records no reason for Friday’s timing; the streak of green weeks is context, not confirmed cause.
Anything new tried?
The 8500 call strike, the highest of the record. Also the clearest example yet of the patient exit ladder, which after this week becomes the account’s normal way to leave a winner.
Takeaway
+$308.04 into a rally, with an exit worked a nickel at a time. The record’s rhythm at this point is unmistakable: two-lot strangle, wide wings, resting orders, three weeks, repeat. The next entry is where that rhythm meets the worst market day of the year.
Frequently asked questions
How did the June 26 strangle trade end?
Sold May 6 for a 5.40 credit, 2 contracts, bought back May 21 for 2.15: a net profit of $308.04 after fees, held 15 days. The log shows several canceled buyback attempts at 2.00 to 2.10 over two days before paying 2.15.
What position replaced it?
A 2-contract /ES July 10 short strangle, 5600 put and 8500 call, sold May 22 for a 6.30 credit, with the call strike pushed out to 8500 for the first time as the index kept climbing.
What was notable in the market that week?
The S&P 500 rose about 0.9% for its eighth consecutive winning week, closing near record highs around 7,473. Kevin Warsh was sworn in as Fed chair on Friday, May 22, SpaceX filed for what would be the largest IPO ever, and Nvidia reported another enormous quarter. Consumer sentiment, squeezed by gas prices, hit a record low the same week.